Top 10 Cheapest Companies To Buy For 2014

With shares of Barrick Gold (NYSE:ABX) trading around $18, is ABX an OUTPERFORM, WAIT AND SEE or STAY AWAY? Let’s analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

T = Trends for a Stock’s Movement

Barrick Gold is engaged in the production and sale of gold as well as exploration and mine development. The company also produces copper and holds other interests, which include a nickel development project. Barrick Gold’s business is organized into seven primary operating segments: four regional gold businesses, a global copper business unit, an oil and gas business, and a capital projects group. Its gold, copper, nickel, and oil and gas businesses and interests are dispersed around the world.

Barrick Gold shares have fallen 6.24 percent in pre-market trading as the miner announced it’s shutting down work on its Pascua-Lama mine on the border of Chile and Argentina. Barrick, which has already spent $5 billion on the mine, said the project is being stopped indefinitely when it reported third-quarter earnings on Thursday. In addition, Barrick announced plans for a bought-deal public offering that will help the miner raise $2.6 billion.

Top 10 Cheapest Companies To Buy For 2014: USA Mobility Inc.(USMO)

USA Mobility, Inc. provides wireless communications solutions to the healthcare, government, enterprise, and emergency response sectors in the United States. The company provides one-way and two-way messaging services. One-way messaging consists of numeric and alphanumeric messaging services. The numeric messaging services enable subscribers to receive messages that are composed entirely of numbers, such as a phone number. The alphanumeric messages may include numbers and letters which enable subscribers to receive text messages. Its two-way messaging services enable subscribers to send and receive messages to and from other wireless messaging devices, including pagers, personal digital assistants and personal computers. USA Mobility also offers voice mail, personalized greeting, message storage and retrieval, and equipment loss and/or maintenance protection to its one-way and two-way messaging subscribers. In addition, the company provides mobile voice and data services t hrough third party providers, which include BlackBerry devices and global positioning system location applications. Further, it offers machine to machine telemetry solutions for various applications that include asset tracking, utility meter reading, and other remote device monitoring applications. USA Mobility serves businesses, professionals, management personnel, medical personnel, field sales personnel and service forces, members of the construction industry and construction trades, real estate brokers and developers, sales and service organizations, specialty trade organizations, manufacturing organizations, and government agencies. The company is based in Springfield, Virginia.

Advisors’ Opinion:

  • [By Jake L’Ecuyer]

    Among the sector stocks, 8×8 (NASDAQ: EGHT) was down more than 2.2 percent, while USA Mobility (NASDAQ: USMO) tumbled around 2.5 percent.

    Top Headline
    Tiffany & Co (NYSE: TIF) swung to a loss in the fourth quarter. Tiffany posted a quarterly loss of $103.6 million, or $0.81 per share, versus a year-ago profit of $179.6 million, or $1.42 per share. Excluding special items, it earned $1.47 per share. Its revenue climbed to $1.30 billion versus $1.24 billion. However, analysts were estimating earnings of $1.51 per share on revenue of $1.31 billion. For fiscal year 2014, Tiffany projects earnings of $4.05 to $4.15 per share, versus analysts’ estimates of $4.27 per share.

  • [By Sally Jones]

    USA Mobility Inc. (USMO): Reduced

    Up 26% over 12 months, USA Mobility has a market cap of $307.81 million; its shares were traded at around $14.22 with a P/E ratio of 13.10. The dividend yield of USMO is 3.52%.

Top 10 Cheapest Companies To Buy For 2014: Genesco Inc. (GCO)

Genesco Inc. engages in the retail and wholesale of footwear, apparel, and accessories. The company operates in five segments: Journeys Group, Schuh Group, Lids Sports Group, Johnston & Murphy Group, and Licensed Brands. The Journeys Group segment operates the Journeys, Journeys Kidz, Shi by Journeys, and Underground by Journeys retail stores that provide footwear and accessories for men, women, and younger children. It also sells footwear and accessories through direct-to-consumer catalog and e-commerce operations. The Schuh Group segment operates Schuh retail footwear stores, which offer casual and athletic footwear for 15 to 30 year old men and women, as well as engages in the e-commerce operations. The Lids Sports Group segment operates headwear and accessory stores under the Lids, Hat World, and Hat Shack banners; sports-oriented fan shops that offer licensed merchandise, such as apparel, hats and accessories, sports decor, and novelty products under the Lids Locker R oom, Sports Fan-Attic, and Sports Avenue banners; and as a Lids Team Sports athletic team dealer, as well as in e-commerce operations. The Johnston & Murphy Group segment is involved in Johnston and Murphy retail, catalog and e-commerce, and wholesale distribution operations. Its stores provide footwear, luggage, and accessories for business and professional customers. The Licensed Brands segment markets casual and dress footwear under the Dockers brand for men aged 30 to 55. As of May 31, 2013, the company operated 2,455 retail stores in the United States, Canada, the United Kingdom, and the Republic of Ireland. The company also sells its products through journeys.com, journeyskidz.com, shibyjourneys.com, undergroundbyjourneys.com, schuh.co.uk, and johnstonmurphy.com. Genesco Inc. was founded in 1924 and is headquartered in Nashville, Tennessee.

Advisors’ Opinion:

  • [By Reuters]

    Steven Senne/AP BOSTON — Companies that help Target process payments could face millions of dollars in fines and costs resulting from the unprecedented data breach that struck the retailer during the holiday shopping season. Investigators are still sorting through just how thieves compromised about 40 million payment cards and the information of about 70 million Target (TGT) customers. But people who have reviewed past data breaches believe Target’s partners could face consumer lawsuits and fines that payment networks such as Visa (V) and MasterCard (MA) often levy after cybersecurity incidents. Target’s partners “have deep pockets and are intimately involved in certain aspects of how Target gets paid,” said Jamie Pole, a cybersecurity consultant in Asheboro, N.C., who works for government agencies and the financial industry. Fines and settlement costs could reach into the millions of dollars for individual companies, he said, though much will depend on how the ultimate liability for the breach is determined. Boston attorney Cynthia Larose of Mintz Levin said Target would likely seek to add its partners as defendants to lawsuits already filed over the breach. “These class-action lawsuits start to bring everyone in at some point,” she said. After its systems were penetrated by hackers in the mid-2000s, retailer TJX Cos. (TJX) agreed to pay up to $40.9 million to cover fraud costs in a settlement with Visa. Visa also issued penalties of $880,000 against Fifth Third Bancorp (FITB) of Ohio, which processed transactions for TJX. Asked about the business relationships and possible costs, Target spokeswoman Molly Snyder declined to comment, citing the ongoing investigation and pending suits. A Visa spokeswoman declined to comment. A MasterCard spokesman said the company couldn’t discuss an ongoing investigation. Handling Target Transactions Several companies are involved in any purchase from a store such as Target. A bank issues the consumer’s payment card

  • [By Eric Volkman]

    Genesco (NYSE: GCO  ) results for the company’s fiscal Q1 2014 have been released. For the quarter, net sales came in at $591 million, a drop of 1.5% from the $600 million in the same period the previous year. Net profit also saw a slip, to $18.4 million ($0.77 per diluted share) from Q1 2013’s figure of $20.6 million ($0.85). On an adjusted basis, those numbers were $22.2 million ($0.94 per diluted share) and $23.8 ($0.98), respectively.

Top 10 Cheapest Companies To Buy For 2014: Blackhawk Network Holdings Inc (HAWK)

Blackhawk Network Holdings, Inc., incorporated on January 27, 2006, is a prepaid payment network utilizing technology to offer a range of gift cards, other prepaid products and payment services in the United States and 18 other countries. The Company is a third-party distributor of gift. Its product offerings include gift cards, prepaid telecom products and prepaid financial services products (including general purpose reloadable (GPR), cards and its reload network). In addition, it sells physical and electronic gift cards to consumers through both online distributors and its Website, GiftCardMall.com. It offers gift cards from consumer brands, such as Amazon.com, Applebee’s, iTunes, Lowe’s, Macy’s and Starbucks and from payment networks, such as American Express, MasterCard and Visa. In addition, it distributes GPR, cards provided by Green Dot and NetSpend, as well as PayPower, its own GPR card. REloadit, its reload network, allows consumers to reload funds onto cer tain of their previously purchased GPR cards. In November 2013, Blackhawk Network Holdings Inc completed the acquisition of InteliSpend Prepaid Solutions. Effective December 2013, Blackhawk Network Holdings Inc, a unit of Safeway Inc, acquired Retailo AG.

The Company also offers prepaid solutions, including functionality and connectivity for digital wallet products within digital payments space, as well as an online gift card exchange called Cardpool. The Company’s extensive prepaid network provides benefits to its three primary constituents: consumers who purchase the products and services it offers, content providers who offer branded gift cards and other prepaid products that are redeemable for goods and services, and distribution partners who sell those products. Its extensive network connects to more than 500 content providers and over 100,000 active retail distribution locations, providing access to over 160 million consumer visits per week. For consume rs, the Company provides a variety of brands and content at ! retail distribution locations and online. For its content providers, it provides access to millions of consumers and creates new customer relationships. For its distribution partners, it provides product category that drives incremental store traffic and customer loyalty. It also distributes prepaid telecom products offered by prepaid wireless telecom brands. The Company distributes its products across multiple traffic channels, such as grocery, convenience, specialty and online retailers.

Advisors’ Opinion:

  • [By Bloomberg]

    Matthew Staver/Bloomberg via Getty Images Cerberus Capital Management’s $9 billion deal to merge Safeway (SWY) with Albertsons is a bet that a larger supermarket chain can better fend off an attack on the grocery business by big-box stores and online retailers. Safeway, the No. 2 grocery-store operator in the U.S., agreed Thursday to be acquired by Cerberus’s Albertsons for about $40 a share. The deal will unite two chains with locations across the country — especially in the West — and narrow Kroger’s (KR) lead as the nation’s top supermarket company. Cerberus, a private-equity firm that has spent years investing in the supermarket industry, will use the new company’s heft to combat a growing array of threats. Big-box retailers such as Walmart Stores (WMT) and warehouse clubs are increasingly targeting grocery customers, using their size and breadth of products to attract shoppers. Online food sellers and delivery services, including Amazon.com (AMZN), also have made neighborhood supermarkets less essential than before. “This merger will improve our competitive position,” Safeway Chief Executive Officer Robert Edwards, who will be in charge of the combined company, said Thursday on a conference call. “Our customers will benefit from significant cost saving synergies and a stronger management team.” Safeway shares fell as much as 6.3 percent to $37 in extended trading, reflecting concerns the deal may not close at the current price. The shares had increased 21 percent this year through the close of regular trading Thursday, outpacing the 1.6 percent gain of the Standard & Poor’s 500 Index. Blackhawk Network As part of the agreement, investors will get $32.50 a share in cash, plus stock in Safeway’s gift-card unit Blackhawk Network Holdings (HAWK), according to a statement Thursday. Safeway, based in Pleasanton, Calif., had said last month that it was in talks about a sale of the company. Assuming a diluted share count of about 235 million shares,

  • [By Andrew Marder]

    More recently, the company IPO’d its gift-card business last week as Blackhawk Network Holdings (NASDAQ: HAWK  ) . Safeway sold off about 22% of its holding, generating $243 million in cash, which the company used to repay some of its debt. That will be reflected in the next earnings statement.

  • [By Monica Gerson]

    Blackhawk Network Holdings (NASDAQ: HAWK) is estimated to report its Q3 earnings at $0.05 per share on revenue of $210.94 million.

    E2open (NASDAQ: EOPN) is projected to post a Q2 loss at $0.15 per share on revenue of $17.23 million.

Top 10 Cheapest Companies To Buy For 2014: Owens & Minor Inc.(OMI)

Owens & Minor, Inc., together with its subsidiaries, provides distribution, third-party logistics, and other supply-chain management services to healthcare providers and suppliers of medical and surgical products. Its services include logistics, supplier management, analytics inventory management, outsourced resource management, clinical supply management, and business process consulting. The company also offers various services comprising PANDAC, an operating room-focused inventory management program that helps healthcare providers to control suture and endo-mechanical inventory; SurgiTrack, a customizable surgical supply service that includes the assembly and delivery of surgical supplies in procedure-based totes; OMSolutions, a supply-chain consulting, customer technology, and resource management service; and WISDOM Gold, an Internet-based supply spend management, data normalization, and contract management solution. In addition, it provides Clinical Supply Solutions, a n inventory and contract management service; and Implant Purchase Manager, a technology-based service, as well as owns OM HealthCare Logistics, a customized third-party logistics and business process outsourcing service. Further, the company distributes medical and surgical supplies to the acute-care market. It serves federal government, including the U.S. department of defense; and alternate-site providers, such as ambulatory surgery centers, physicians? practices, clinics, home healthcare organizations, nursing homes, and rehabilitation facilities, as well as provides distribution and supply-chain management services that include third-party logistics and business process outsourcing services to manufacturers of medical and surgical products. Owens & Minor, Inc. was founded in 1882 and is headquartered in Mechanicsville, Virginia.

Advisors’ Opinion:

  • [By Marc Bastow]

    Third-party logistics services provider Owens & Minor (OMI) raised its quarterly dividend 4.2% to 25 cents per share, payable March 31 to shareholders of record as of March 17.
    OMI Dividend Yield: 2.82%

  • [By Dividends4Life]

    Memberships and Peers: CAH is a member of the S&P 500, a Dividend Aristocrat and a member of the Broad Dividend Achievers™ Index. The company’s peer group includes: AmerisourceBergen Corporation (ABC) with a 1.3% yield, McKesson Corporation (MCK) with a 0.6% yield and Owens & Minor Inc. (OMI) with a 2.5% yield.

  • [By Seth Jayson]

    Calling all cash flows
    When you are trying to buy the market’s best stocks, it’s worth checking up on your companies’ free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That’s what we do with this series. Today, we’re checking in on Owens & Minor (NYSE: OMI  ) , whose recent revenue and earnings are plotted below.

Top 10 Cheapest Companies To Buy For 2014: Hybrid Coating Technologies Inc (HCTI)

Hybrid Coating Technologies Inc. (HCT), incorporated on November 2, 2011, is a development-stage company. The Company’s business is that of its wholly owned subsidiary, Nanotech Industries International Inc. (Nanotech). This business is the manufacturing and sale of alternative non-toxic (isocyanate-free) polyurethane, Green Polyurethane. The products manufactured and sold by the Company (Nanotech Products) comprise coating products and sealant products. Coatings and raw binder ingredients comprised of Green Polyurethane Monolithic Floor Coating and Green Polyurethane Binder and referred to as Coating Products. Sealants and adhesives comprised of Green Polyurethane and referred to as Sealant Products.

Applications for Green Polyurethane products markets include industrial and commercial buildings; civil applications for tunnels and bridges; private and public garages; chemical and food processing plants; Warehouses; Monolithic floorings for civil, industrial and military engineering; marine and aeronautic applications; industrial equipment for dairy and liquid fertilizer processing plants and delivery systems; military facilities and equipment, and protective coatings inside industrial and commercial pipes. The Company intends to establish full commercial-scale manufacturing for both of its products at Adhpro Adhesives Inc. (Adhpro Adhesives) in Magog, Quebec and Simpson Coatings Group Inc. (Simpson Coatings) in California through non-exclusive toll manufacturing agreements.

The Company competes with BASF, Sherwin Williams, PPG, Benjamin Moore, AKZO Nobel, Rust-Oleum and Sika AG.

Advisors’ Opinion:

  • [By Peter Graham]

    Last Friday, small cap stocks Tristar Wellness Solutions Inc (OTCMKTS: TWSI) jumped 14.94% while Hybrid Coating Technologies (OTCBB: HCTI) and Bulova Technologies Group, Inc (OTCMKTS: BTGI) sank 23.53% and 13.04%, respectively. It should be mentioned that only one of these small cap stocks appears to be the subject of paid promotions or investor relations type activities. So what will these three small cap stocks do for investors this week? Here is a quick reality check to help you decide on a trading or investing strategy:

  • [By Peter Graham]

    Small cap green stocks Hybrid Coating Technologies, Inc (OTCBB: HCTI), Pan Global Corp (OTCMKTS: PGLO) and Trans Global Group Inc (OTCMKTS: TGGI) have been getting some attention lately in various investment newsletters or alerts with two of these stocks also being the subject of some paid promotions. But will these small cap green stocks actually deliver some green in the form of greenbacks for investors? Let’s take off the green eyeshades and take a closer look:

    Hybrid Coating Technologies, Inc (OTCBB: HCTI) Has Expanded Its Green Technology

    Small cap Hybrid Coating Technologies, Inc is a San Francisco-based innovator focused on improving the quality and safety of coatings and paint for industrial and commercial customers around the world and it’s the exclusive licensee of Green Polyurethane(TM) coatings and paint – the world’s first-ever patent protected polyurethane-based coatings and paint products which eliminate toxic isocyanates from the entire production process (licensed by Nanotech Industries, Inc). On Friday, Hybrid Coating Technologies, Inc rose 2.13% to $0.48 for a market cap of $44.27 million plus HCTI is up 20% over the past year and down 96.9% since August 2009 according to Google Finance.

Top 10 Cheapest Companies To Buy For 2014: SuperValu Inc.(SVU)

SUPERVALU INC., together with its subsidiaries, operates retail food stores in the United States. Its stores offer grocery, general merchandise, health and beauty care, pharmacy, and fuel products. The company operates stores under the Acme, Albertsons, Cub Foods, Farm Fresh, Hornbacher?s, Jewel-Osco, Lucky, Shaw?s, Shop ?n Save, Shoppers Food & Pharmacy, and Star Market banners, as well as in-store pharmacies under the Osco and Sav-on banners. It operates approximately 2,394 traditional and hard-discount retail food stores, including 899 licensed Save-A-Lot stores. The company also offers supply chain services, which include wholesale distribution of products to independent retailers, including single and multiple grocery store independent operators, regional and national chains, mass merchants, and the military customers, as well as provides logistics support services. SUPERVALU was founded in 1871 and is based in Eden Prairie, Minnesota.

Advisors’ Opinion:

  • [By Vanina Egea] of 700 to 800 small format stores annually adds to an increasing number of dollar stores subscribing to loss-leader strategies. In this context, the firm undertook a fair price plus promotion strategy in fiscal 2013. This initiative has lowered prices to a competitive position at the expense of margins, in the hope for market share gains in the long term.

    Cost Cuts

    Apart from underperforming stores sellout, Supervalu has undertaken additional cost reduction initiatives which are expected to lower administrative expenses by $250 million through fiscal 2014. The reduction of its store count, I turn, is expected to generate $80 million to $90 million in savings in the next three years.

    Moving Forward

    In the third quarter of fiscal 2013, the firm reported adjusted earnings of $0.13, a significant improvement compared to the negative $0.07 delivered the year before. Revenues, however, fell by $1.05 in relation to the prior year, due to negative comps in the retail segment, which have been declining for four consecutive years.

    Further, the firm does not have any share buyback plans for fiscal 2014 and will not pay dividends to shareholders until March 2018.

    Supervalu showcases a negative return on capital of -9.24% compared to the industry average of 20.02%. And its three-year average revenue growth delivered a dismal -25.1% compared to its peers’ median of 1.0%.

    Investment guru John Keeley (Trades, Portfolio) recently sold out his holding in the company, backing my feeling that despite the company’s efforts, a good position in a highly competitive market will be hard to achieve.

    Disclosure: Vanina Egea holds no position in any stocks mentioned.

    About the author:Vanina EgeaA fundamental analyst at Lone Tree Analytics

    Visit Vanina Egea’s Website

    Currently 5.00/512345

    Rating: 5.0/5 (2 votes)

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  • [By Bloomberg]

    Matthew Staver/Bloomberg via Getty Images Cerberus Capital Management’s $9 billion deal to merge Safeway (SWY) with Albertsons is a bet that a larger supermarket chain can better fend off an attack on the grocery business by big-box stores and online retailers. Safeway, the No. 2 grocery-store operator in the U.S., agreed Thursday to be acquired by Cerberus’s Albertsons for about $40 a share. The deal will unite two chains with locations across the country — especially in the West — and narrow Kroger’s (KR) lead as the nation’s top supermarket company. Cerberus, a private-equity firm that has spent years investing in the supermarket industry, will use the new company’s heft to combat a growing array of threats. Big-box retailers such as Walmart Stores (WMT) and warehouse clubs are increasingly targeting grocery customers, using their size and breadth of products to attract shoppers. Online food sellers and delivery services, including Amazon.com (AMZN), also have made neighborhood supermarkets less essential than before. “This merger will improve our competitive position,” Safeway Chief Executive Officer Robert Edwards, who will be in charge of the combined company, said Thursday on a conference call. “Our customers will benefit from significant cost saving synergies and a stronger management team.” Safeway shares fell as much as 6.3 percent to $37 in extended trading, reflecting concerns the deal may not close at the current price. The shares had increased 21 percent this year through the close of regular trading Thursday, outpacing the 1.6 percent gain of the Standard & Poor’s 500 Index. Blackhawk Network As part of the agreement, investors will get $32.50 a share in cash, plus stock in Safeway’s gift-card unit Blackhawk Network Holdings (HAWK), according to a statement Thursday. Safeway, based in Pleasanton, Calif., had said last month that it was in talks about a sale of the company. Assuming a diluted share count of about 235 million shares,

  • [By Grace L. Williams]

    Curious to see what the competition was doing, we found Safeway (SWY) down 0.1% at $31.67, Supervalu (SVU) down 1.4% at $6.25, and Sprouts Farmers Markets (SFM) up 0.9% at $39.60.

Top 10 Cheapest Companies To Buy For 2014: Danone SA (DANOY)

Danone SA, incorporated on February 2, 1899, is a France-based company engaged in food processing activities. The Company operates in four business lines, including Fresh Dairy Products, Waters, Baby Nutrition and Medical Nutrition. The Fresh Dairy Products business line’s brands are Danone, Actimel, Activia, Danacol and Vitalinea. The Water business line offers brands, such as Evian, Volvic, Aqua, Bonafont, Font Vella and Lanjaron. The Baby Nutrition business line include Bledina, Gallia, Nutricia, Cow & Gate, Milupa, Mellin and Dumex brands. Medical nutrition business includes Nutricia, Nutrini, Nutrison, Fortimel, FortiCare, Fortisip, Neocate and Infatrini brands. As of December 31, 2009, the Company acquired Danone Clover and a 26.85% interest in Micropharma. In December 2010, the Company and Unimilk announced the finalization of the merger of their Fresh Dairy Product businesses.

In Europe the Company’s main markets are France, Spain, Germany, Italy, the Benelux countries, the United Kingdom, Poland and Russia. The Company’s product Actimel, the probiotic dairy product, if consumed daily, helps to strengthen the organism’s natural defenses. The Waters business line includes activities focused on natural or flavored mineral water and on fruit-flavored or tea drinks, with a positioning concerned with health benefits. The Company’s baby nutrition business line’s activities consist mainly of producing food for newborns and babies (infant milk formula, follow-on milk, and growing up milk). It also offers a diverse range of products for

children aged 6 to 36 months. Specially developed and clinically tested formulas have also been developed for babies suffering from milk protein intolerance. The Medical Nutrition business line develops nutritional products adapted to specific needs, namely those of hospitalized patients, in order to prevent malnutrition and to improve its consumers daily life.

The Co mpany competes with Nestle, PepsiCo, Coca-cola, Abbott, Mead! Johnson and Fresenius.

Advisors’ Opinion:

  • [By Jamal Carnette]

    More than just Os
    The American public’s seemingly insatiable desire for lean protein in an “on-the-go” form will help General Mills going forward. They have a strong brand with the controlling acquisition of Yoplait, but have yet to parlay that brand recognition to rival Groupe Danone’s (NASDAQOTH: DANOY  ) Dannon brand, and privately held Chobani’s lock on the “Greek Yogurt Craze.” I’d encourage management to make this a priority; matter of fact, I’d consider this a microcosm of management’s execution effectiveness. I’m willing to give this some time to materialize, because the company has executed so well over the last couple of years from both an operations and capital allocation standpoint.

  • [By Jeff Reeves]

    Take the widely held Fidelity Worldwide Fund (FWWFX), which has 30% of its assets invested in Europe. Holdings include Swiss bank UBS (UBS), German automaker Volkswagen (VLKAY) and French food and consumer products giant Danone (DANOY).

Top 10 Cheapest Companies To Buy For 2014: Vanguard Consumer Staples Etf (VDC)

Vanguard Consumer Staples ETF (the Fund), formerly known as Vanguard Consumer Staples VIPERs, is an exchange-traded share class of Vanguard Consumer Staples Index Fund. The Fund employs a passive management or indexing investment approach designed to track the performance of the Morgan Stanley Capital International (MSCI) US Investable Market Consumer Staples Index (the Index). The Index is an index of stocks of large, medium and small United States companies in the consumer staples sector, as classified under the Global Industry Classification Standard (GICS). This GICS sector is made up of companies whose businesses are less sensitive to economic cycles. It includes manufacturers and distributors of food, beverages and tobacco, as well as producers of non-durable household goods and personal products. It also includes food and drug retailing companies, as well as hypermarkets and consumer supercenters.

The Fund attempts to replicate the Index by investing a ll, or substantially all, of its assets in the stocks that make up the Index, holding each stock in approximately the same proportion as its weighting in the Index. The Fund also may sample its target Index by holding stocks that, in the aggregate, are intended to approximate the Index in terms of key characteristics, such as price/earnings ratio, earnings growth and dividend yield.

Advisors’ Opinion:

  • [By Chris Versace, Editor, PowerTrend Brief and PowerTrend Profits]

    That, to me, says they’re going to favor inelastic goods over elastic ones, so when you think of the things that we need each and every day, toilet paper, toothpaste, deodorant, shampoo, household cleansers, that sort of thing, that’s what brings me into (XLP) and (VDC).

Top 10 Cheapest Companies To Buy For 2014: BMC Software Inc. (BMC)

BMC Software, Inc. develops software that provides system and service management solutions for enterprises in the United States and internationally. The company operates in two segments, Enterprise Service Management and Mainframe Service Management. The Enterprise Service Management segment offers service assurance solutions that manage availability and performance management, event management, service impact management, and capacity management; service automation solutions managing provisioning, configuration change, and compliance automation for servers, networks, applications, and databases; service support solutions, which manages service desk, incident management, service request management, problem management, asset management, service level management, change and release management, and identity management; and BMC Atrium that provides shared technologies that unify information and processes from disparate management tools, and assigns priorities to business servic es. It also offers consulting, implementation, integration, IT process design and re-engineering, and educational services related to its software products. The Mainframe Service Management segment provides mainframe data and performance management solutions that ensure the availability and reliability of the business critical data, applications, and systems; and enterprise workload automation solutions comprising CONTROL-M product line, a set of features enabling data centers to automate their complex workloads and critical business processes. The company serves manufacturers, telecommunication companies, educational institutions, retailers, distributors, hospitals, and other industries, as well as channel partners, including resellers, distributors and systems integrators directly. BMC Software, Inc. was founded in 1980 and is headquartered in Houston, Texas.

Advisors’ Opinion:

  • [By Rob DeFrancesco]

    Rob DeFrancesco: ServiceNow is disrupting the IT management space. They’re cloud-based. They’re going against legacy vendors like BMC (BMC). And ServiceNow, that’s another strong revenue grower, up 50% expected for this year, 38% for next year.

  • [By John Divine]

    Dropping 1.5% Monday, BMC Software (NASDAQ: BMC  ) joins Apollo as a notable laggard after the business announced some big strategy changes. An SEC filing today revealed BMC is cutting its workforce, incurring pre-tax charges between $33 million and $38 million in the process. No word yet on how many of the company’s 6,900 full-timers will be let go.

  • [By Tim Brugger]

    The next best growth by any of the top five ITOM vendors last year? BMC Software (NASDAQ: BMC  ) was up a paltry 0 .9% year over year. Even IBM, the undisputed king of ITOM, grew a mere 0.8% in 2012. Granted, IBM’s $3.28 billion in ITOM revenue in 2012 handily beats Microsoft’s $1.48 billion, as does BMC’s $1.92 billion, but the trend is clear: Microsoft is leveraging its enterprise and cloud computing customers better than its ITOM competitors.

  • [By Dan Caplinger]

    But one big element pushing Splunk’s stock higher was the buyout offer that rival BMC Software (NASDAQ: BMC  ) received earlier this month. A group of private investors that includes Bain Capital made the $6.9 billion offer for BMC, and with activist investor Elliott Management having blessed the deal, it’s likely to go through. The strategic move establishes the value of companies in the data-analytics space, especially given that BMC had already lost its competitive edge against Splunk and other rivals.

Top 10 Cheapest Companies To Buy For 2014: Richardson Electronics Ltd. (RELL)

Richardson Electronics, Ltd. engages in the provision of engineered solutions; and distribution of electronic components to the electron device and display systems markets. Its Electron Device Group provides engineered solutions, and distributes electronic components to customers in various markets, such as steel, automotive, textile, plastics, semiconductor manufacturing, and broadcast industries. It designs solutions for various applications comprising industrial heating, laser technology, semiconductor manufacturing equipment, radar, and welding. This division also provides replacement products for systems using electron tubes, as well as offer design and assembly services for new systems employing semiconductor manufacturing equipment. The company?s Canvys division provides integrated display products, workstations, and value-added services to the healthcare, industrial and medical original equipment manufacturers, and digital signage markets. Its display solutions con sist of touch screens, protective panels, custom enclosures, specialized cabinet finishes, application specific software packages, and display products. This division also partners with hardware vendors and offers liquid crystal displays, mounting devices, and customized computing platforms. Richardson Electronics offers its solutions in North America, the Asia Pacific, Europe, and Latin America. The company was founded in 1947 and is headquartered in LaFox, Illinois.

Advisors’ Opinion:

  • [By gurujx]

    Richardson Electronics (RELL) Reached the Three-Year Low of $11.13

    The prices of Richardson Electronics (RELL) shares have declined to close to the three-year low of $11.13, which is 31.1% off the three-year high of $15.40.

  • [By Tim Melvin]

    The safe and cheap undervalued stocks will go right up, but your chances of being destroyed when the party is over are diminished. Stocks like Richardson Electronics (RELL) and Transworld Entertainment (TWMC) have the ability to go up as the market bubbles higher but their asset value will act as sort of a floor in a decline.

  • [By Monica Gerson]

    Richardson Electronics (NASDAQ: RELL) is estimated to post its Q1 earnings.

    NovaGold Resources (NYSE: NG) is expected to post a Q3 loss at $0.03 per share.

  • [By Seth Jayson]

    Calling all cash flows
    When you are trying to buy the market’s best stocks, it’s worth checking up on your companies’ free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That’s what we do with this series. Today, we’re checking in on Richardson Electronics (Nasdaq: RELL  ) , whose recent revenue and earnings are plotted below.